Russia's Polyus says Q1 gold sales up 19 pct y/y (updated)
24/04/2017 09:37
(Adds details, quotes, context)
MOSCOW, April 24 (Reuters) - Polyus Gold PLZL.MM , Russia's
largest gold producer, reported a 19 percent rise in
first-quarter sales to $600 million on Monday due to higher
production.
Polyus, controlled by the family of Russian tycoon Suleiman
Kerimov, is in talks to sell a stake in the company to a
consortium led by China's Fosun International Ltd 0656.HK ,
sources have said. urn:newsml:reuters.com:*:nL8N1HL332
Polyus is also considering launching a secondary share
offering (SPO) in London and Moscow in May or June, according to
sources. urn:newsml:reuters.com:*:nL8N1HM0QF
Polyus said in a statement on Monday that its first-quarter
sales rose 22 percent year-on-year to 487,000 troy ounces, with
total gold output up 17 percent to 450,200 ounces. Its net debt
was at $3.1 billion as of the end of March.
Polyus acquired the giant Sukhoi Log gold deposit in Russia
earlier this year, and now plans to conduct additional
exploration and a feasibility study within three to four years.
"We plan to develop the asset in a disciplined manner, while
its advancement will enable us to enter the next stage of the
company's growth," it said on Monday.
Polyus's current main greenfield project is the large
Natalka gold deposit in the east, which it plans to launch by
the end of 2017.
During the first quarter, it started full-scale mining at
the deposit, with volumes of rock moved reaching 3.3 million
tonnes.
Polyus shares in Moscow were up 0.2 percent on Monday versus
a 0.5 percent rise in the metals and mining index .MCXMM .
(Reporting by Polina Devitt; editing by Jack Stubbs and Louise
Heavens)
((Polina.Devitt@thomsonreuters.com; +7 495 775 12 42; Reuters
Messaging: polina.devitt.reuters.com@reuters.net))
Keywords: POLYUS OUTLOOK/